[EasyClean]

Can anyone help me out with regards to claiming tax against my waterfed poles?

Do Waterfed poles get listed in the tax expenses as:

1. CONSUMMABLES: (because they wear down and frequently need clamp replacements, sometimes even brush heads and split hoses.

or

2. EQUIPMENT. bearing in mind that we will never be able to claim back the full expenditure over several years from the taxman unless we purchased them on  a lease basis.

I would appreciate your views as to whether you claim for it as a consummable or equipment.

[Moderator David@stives]

Easy clean

At the end of the day i dont think it realy matters as at the end of the day, they both have exactly the same allowance.

Ie they are both worth zero as an asset after i think 7 years, my accountant told me it works out the exact same amount

[Jake]

Every time you purchase a piece of equipment or tools, put it down as expenditure


                         Jake

[Moderator David@stives]

p.s if it is a cheap pole i would say consumable
if it is a £1400 ergolite then i would say equipment

Jake

All expenditure has to be put in catagories

[Jake]

Dave

We have put our books into the Accountant this very morning, (our year runs from Oct' to Oct'.)

We have never been asked to catagorise our expenses, we claim for EVERYTHING we buy to run our business, whether our Accountant does it, is another thing, it is something we have never heard of.


                                       Regards..............Jake

[idealrob]

Some will have many years lifespan according to the tax man, eg say it cost £2500, and has a taxmans estimate of 5 years, you will only be able to claim £500 in the first year, unless it a consumable.
Thats my view,

robert t

[Moderator David@stives]

Jake

My accountant categorises all mine for the tax man , I just supply all the reciepts and have them all wrote down,

If it all were expenditure , where does your vehicle come into it.

If you bought a £5000 wfp system then that would be classed as equipment (depreciating asset)   if you bought scrim then that is a consumable.

You may not see the finer detail what the accountant does but i would phone them and ask

Dave

[Jake]

Dave

It's a fair point, something that I honestly do not know enough about. All I do know is that we claim for everything, from the cost of leasing our van to scrims and cloths, even parking tickets!

I will certainly query this point with our Accountant, and let you know what she says.



                                      Regards............Jake

[Moderator David@stives]

Jake

It is worth noting that no 2 accountants are the same and a lot of is down to interpritation, I claim for everything apart from minor little things like washing machine , dryer etc , if it were a sole business use then i would be more on the ball, that way if i am subject to an investigation i may be able to counter claim with a few items ?

I was saying in another post about annoying the tax man, what i meant was do you realy want the tax man to sit up and think whats going on here then, wear and tear on the carpet etc. sure fire way to get an investigation , even though i am 100% legit i cant help wondering if i have done something wrong and an investigation would scare the hell out of me

Dave

Dave

[AuRavelling79]

I put my new shed and carport as an expense a few years back because I charge my batteries, store my water, r/o and store some window cleaning gear there.

My washing machine and tumble dryer got 25% charged for business because at the time I was washing scrim and towels in it every day.

No fiddle - all genuine use.

wfp? - equipment - no question in my view.

[craig jwc]

I asked the tax office would i put my poles down as consumable or equipment.
They said if it will last longer than 12 months then it is equipment.
Think i read somewhere that a pole that's looked after only has a life of around 12 months so it goes down as a consumable.


Craig

[Moderator David@stives]

Malc

The shed and carport would be ok as a percentage, what happens if you move house or stop window cleaning and you have claimed the full amount ?

Dave

Craig I was thinking along them lines, It would be hard to put an ergolite down as a consumable.

As usual everything is ok until an investigation is iminent